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To be meaningful,a small business should compare ratios with large companies.
Tort Liability
Legal responsibility arising from civil wrongs not arising out of contractual obligations, resulting in harm or injury to another.
Principal
The main party to a transaction, agreement, or contract, often responsible for fulfilling the obligations set within.
Third Persons
Individuals who are not a direct party to a legal agreement or transaction but may be affected by it or have certain rights or obligations related to it.
Consideration
Something of value exchanged between parties in a contract, making the agreement binding and legally enforceable.
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